Vanessa A
Expert Alumni

Get your taxes done using TurboTax

The compensation for your services should be reported as Guaranteed Payments on line 4a of the Scheduled K-1.  The payments are still deducted from the LLC income so only the partner or member receiving the payments are taxed on it.  

 

The LLC should not issue a member/partner a 1099. However, for the services you provided prior to buying into the partnership, you would have a 1099 for that period of time.  

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